'No change' in payout to Siam Energy

He referred to the resolutions of the National Energy Policy Council and the Cabinet yesterday to pay 9.49 satang per unit as compensa?tion. The compensation is to help Siam Energy defray expenses entailed in moving the underdevelopment power plant to Rojana Industrial Estate in Ayutthaya.

"This is based on the compensation given to [Gulf Electric's] power plant, which was moved from Bor Nok [Prachuab Khiri Khan] to Kaeng Khoi, Saraburi, for a similar reason," he said.

Earlier, the Electricity Generating Authority of Thailand's labour union submitted a complaint to Prime Minister Abhisit Vejjajiva about the compensation scheme. The union said that throughout the 25year concession, Egat would have to pay a total of Bt10 billion, which was unfair to other power producers.

Energy permanent secretary Pornchai Rujiprapa insisted the compensation was fair and the least costly option for the government, as the relocation followed the government's agreement with the locals. Return on investment will stay unchanged at 9 per cent, he said.

A source at the Energy Policy and Planning Office said the relocation would result in a twoyear delay in power feed from the plant. Siam Energy would also shoulder a high?er operating cost in acquiring new land. Also, the interest burden was excluded from power tariffs.

The compensation will be paid when the company starts supplying power in 2015.

The energy authorities yesterday also resolved to change the special tariff, the socalled adder, on solar power. Only those that have signed power sellpurchase contracts will enjoy the adder, which is also reduced from Bt8 per unit to Bt6.5. New investors will come under a new set of rules. Wannarat said this was changed because the Bt8 adder could put too much burden on consumers.

The Cabinet yesterday also allowed PTT to add an arbitration clause to its liquefiednaturalgas purchase contracts with foreign sup?pliers.